IPO Company Profile
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Cavalry Bancorp, Inc.
114 West College Street, Murfreesboro, TN 37130 * (615) 893-1234

The company is a savings and loan holding company that operates the Cavalry Banking, A Federal Savings Bank.

Primary Underwriting Group
ManagerTierPhone
Trident Securities, Inc.Lead Manager (919) 781-8900

Offering Information
NASNTL:CAVB Financial: SIC 6035
Type of Shares:Common Shares Filing Date:11/12/97
U.S. Shares:7,538,000 Offer Date:3/17/98
Non-U.S. Shares:0 Filing Price:$10.00
Primary Shares:7,538,000 Offer Price:$10.00
Secondary Shares:0 Gross Spread:$0.00
Offering Amount: $75,380,000 Selling:$0.00
Expenses:$650,000 Reallowance:$0.00
Post-IPO Shares: -
Employees:132

Legal Counsel, Auditor and Registrar
Issuer's Law Firm: Breyer & Aguggia
Bank's Law Firm: Peabody & Brown
Auditor: Rayburn, Betts & Bates, P.C.

Selected Financial Data

Dollar amounts in U.S. millions except for per share data
9 Month Ending Financials
Full Year
Audited
Income
Latest
Unaudited
Income
Prior
Audited
Income
Balance
Sheet
12/31/96 9/30/97 9/30/96 9/30/97
Revenue:$19.58$16.16$14.38Assets:$275.93
Net Income:$2.81$2.26$1.84Curr Assets:
EPS:Liabilities:$246.42
Prior EPS:Curr Liab:$241.95
Cash Flow/Oper:$2.60$4.00$4.29Equity:$29.50
Cash Flow/Fin:$17.64$28.21$13.27Cash:$26.69
Cash Flow/Inv:-$14.66-$25.04

Competition
The Bank has faced, and will continue to face, intense competition both in making loans and attracting deposits. The Bank's primary market area of Rutherford and Bedford Counties has a high density of financial institutions, many of which are branches of large Southeastern bank holding companies which have greater financial resources than the Bank and all of which compete with the Bank in varying degrees. Competition for loans principally comes from commercial banks, thrift institutions, credit unions, mortgage banking companies and insurance companies. Historically, commercial banks, thrift institutions and credit unions have been the Bank's most direct competition for deposits. The Bank also competes with short-term money market funds and with other financial institutions, such as brokerage firms and insurance companies, for deposits. In competing for loans, the Bank may be forced to offer lower loan interest rates periodically. Conversely, in competing for deposits, the Bank may be forced to offer higher deposit interest rates periodically. Either case or both cases could adversely affect net interest income.

Business Plan
The Bank is a community-oriented financial institution whose primary business is attracting deposits from the general public and using those funds to originate a variety of loans to individuals residing within its primary market area, and to businesses owned and operated by such individuals. The Bank believes that its operations more closely resemble those of a traditional commercial bank than a traditional thrift institution. The Bank originates, in order of magnitude, one-to-four family mortgage loans, construction loans, commercial real estate loans, consumer loans, commercial business loans, and land A&D; loans. In addition, the Bank invests in U.S. Government and federal agency obligations. The Bank intends to continue to fund its assets primarily with retail deposits, although FHLB-Cincinnati advances may be used as a supplemental source of funds.

Use of Proceeds
The proceeds from the proposed offering will be used for general corporate purposes.

Executive Officers and Directors
Officer NameTitleAge
William H. Huddleston, IIIChairman of the Board68
Ronald F. KnightDirector, Executive Vice President and Chief Operating Officer47
Ed C. Loughry, Jr.Director, President and Chief Executive Officer55
R. Dale FloudSenior Vice President47
Hillard C. "Bud" GardnerSenior Vice President and Chief Financial Officer49
David W. HopperSenior Vice President and Trust Officer54
William S. JonesSenior Vice President and Trust Officer/Investor Relations37
Gary BrownVice Chairman of the Board55
M. Glenn LayneVice President43
Joy B. JobeVice President53

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